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The prospect could be a blow to collectors, piggy bank lovers and seaside arcades, which hoard coppers in mechanical prize machines.

A rise in contactless and digital payments has meant processors are “holding increasingly large stocks of coin”, the call for evidence warned.

The document also raises the question of whether the £50 note because it is “rarely used for routine purchases.”

The call for evidence, which closes in June, makes no firm proposal to get rid of any coin or note.

But it asks: "Does the current denominational mix (eight coins and four banknotes) meet your current and future needs? If not, how should it change?"

It could be bad news for Britain's seaside arcades

A Treasury source insisted the process was "just a listening exercise" and no decisions had been made.

But Tory MP for Bridgwater and West Somerset Ian Liddell-Grainger told MailOnline : "A lot of charities live for those pennies.

"This is a level of laziness from the Treasury. They just want to stop something, even though people still use it."

He added: "I think the government has got this wrong. They need to have a long think about this. It is a bad mistake."

The public have been invited to take part in the current call for evidence, and any firm plan to scrap coppers would likely have to go through a second, future consultation. There is no timescale for the process beyond June.

Ex-Chancellor George Osborne came within weeks of scrapping the penny in late 2015 but was blocked by David Cameron, it was reported last year.

Today the Treasury pledged to ensure "the public’s legitimate cash needs continue to be met" including through access to ATMs.

But it warned the use of cash was declining for younger people, with 11 per cent of those aged 25-34 rarely using it compared to 2 per cent of those aged 55-64.

The document said: "With the expected continued digitalisation of the economy, a further decline in cash usage may have profound implications for the most vulnerable in society, and for those businesses and organisations that rely on cash."

More than half of coppers disappear into piggy banks or bins after one use (Image: Image Source)

It added: "There has been a much more significant decline in the use of cash for transactions that are less than £5 compared to higher-value transactions.

"This has been greatest in the transport, vending and the pub, restaurant and night-time economy."

The consultation was one of a string unveiled today alongside Chancellor Philip Hammond's Spring Statement .

He promised "light at the end of the tunnel" but his 26-minute speech was a far more slimmed down affair than a Budget - with no tax or spending changes to help those suffering under NHS pay austerity or benefit cuts.

Economic forecasts revealed GDP growth will be at a wincing low of 1.5 per cent in years to come, worse than predicted.

But debt is due to come down, and austerity could be slimmed back after a major review next year.

Meanwhile a series of consultations was launched on plastic pollution, VAT and diesel by the Tory minister in the House of Commons.

The chancellor said he will increase public spending and investment in years ahead if public finances continue on this improved path and he insisted he was not somebody who believes "every available penny should be used to reduce the deficit".